High Truck Sales Force Ford And GM To Make Tough Decisions

Trucks / Comments

GM is increasing truck production while Ford is forced to slow down.

A year into the pandemic, and the automotive industry is still facing a raft of problems. Yet Ford has revealed that 2021 Ford F-150 inventory has been turning over at a remarkable rate. Currently, F-150s are spending an average of nine days on dealer lots. One to two weeks is the average for a car, while a month or more isn't unusual. It's not just Ford trucks that are selling strong despite the economic downturn caused by the pandemic. GM sold 839,691 Chevrolet Silverado and GMC Sierra models in 2020, and truck sales aren't relenting at the start of 2021.

2021 Ford F-150 Front View Driving Ford
2021 Ford F-150 Front View Ford
2021 Ford F-150 Aft View CarBuzz
CarBuzz

Detroit News reports that GM has such heavy demand for GMC Sierra trucks its Oshawa plant in Ontario will come back online next year and that it will invest $75 million in its transmission plant in Toledo, Ohio. It seems that while GM is gearing up to ensure it has 30 EVs on the market by 2025 and its entire range is emissions-free by 2035, it still has to satisfy the demand for piston-powered trucks.

Meanwhile, Ford reported record orders for the 2021 F-150 in December and prepared itself for the huge demand by pushing out trucks from its Ford Dearborn Truck Plant in Michigan and Kansas City Assembly Plant in Missouri. However, Ford has been hit by the global semiconductor shortage.

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2019-2021 GMC Sierra 1500 Front View Driving GMC
2019-2021 GMC Sierra 1500 Rear View Driving GMC
2019-2021 GMC Sierra 1500 Rear Angle View GMC
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AMG-Powered Cars Not From Mercedes
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Chinese Cars We Want in America

A shortage of semiconductors has forced Ford to halt F-150 reduce production at both plants. During the week of February 8, the Michigan plant will drop from three shifts to just one, and its Missouri plant will drop just one of its three shifts for the week. Ford believes normal production will resume on February 15.

GM is also facing the same issue, slowing the production of cars like the Chevrolet Malibu, Cadillac XT4, Chevrolet Equinox, and the Buick Encore the same week. Forecasts predict the chip shortage could last into the third quarter of this year, and close to a million fewer vehicles could be produced this year as a result.

Chevrolet
Chevrolet
Chevrolet
Chevrolet
Source Credits: Detroit News

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2019-2021 GMC Sierra 1500 Rear Angle View
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